Euro stocks down into close as Greek fears weigh

Print This!

European stocks closed lower Wednesday, as uncertainty over whether Greece will soon receive additional financial aid.

Concerns over the worsening of the euro zone’s debt crisis continued to weigh on market sentiment.

At the close of European trade, the EURO STOXX 50 dropped 0.81%, France’s CAC 40 retreated 0.89%, while Germany’s DAX 30 declined 0.94%.

Sentiment found some support after German newspaper Bild reported on Tuesday that Greece is to receive EUR44 billion of financial aid in one payment, citing German government sources.

However,  investors remained cautious amid ongoing divisions between officials from the International Monetary Fund and Europe on how best to reduce Greece’s debt to manageable levels.

A decision on unlocking the country’s next tranche of aid, worth EUR31.5 billion, has been postponed until 20 November.

Markets were also jittery after data showed that industrial production in the euro zone fell by 2.5% in September, more than the expected 1.9% decline, following a rise of 0.9% the previous month.

Financial stocks turned broadly lower, as shares in French lenders BNP Paribas and Societe Generale dropped 0.79% and 0.75%, while Germany’s Deutsche Bank and Commerzbank declined 0.38% and 1.03% respectively.

Mediaset added to losses, as shares plunged 4.31% after the broadcaster reported a higher-than-expected third-quarter net loss of EUR88.4 million, compared with a profit of EUR1.4 million a year earlier.

On the upside, Vivendi surged 4.37% after the company said earnings will fall less-than-expected this year, helped by cost cuts and video-game demand.

In London, commodity-heavy FTSE 100 slid 0.54%, weighed by losses in oil and mining stocks, while data showed that the number of people claiming unemployment benefits in the U.K. in October posted the largest increase since September 2011.

Evraz saw shares soar 5.18% and Eurasian Natural Resources rallied 3.04%, while copper producers Xstrata and Kazakhmys tumbled 1.48% and 1.83% respectively.

Pages: Next

Be kind & share...Share on Facebook0Tweet about this on Twitter0Share on LinkedIn0Pin on Pinterest0Share on Google+0Digg this

Disclaimer: The content included herein is for educational and informational purposes only, and readers agree to Wall Street Sector Selector's Disclaimer, Terms of Use, and Privacy Policy before accessing or using this or any other publication by Wall Street Sector Selector or Ridgeline Media Group, LLC.

Go to Wall Street Sector Selector Home or Check our Special Wall Street News Section

Visit Us On TwitterVisit Us On FacebookVisit Us On YoutubeVisit Us On Linkedin
Make sure you create your redirects.txt file and that it's readable by the redirect script.